Viacom to offload Paramount stake

Viacom is planning to sell off a “significant” minority stake in its film and television studio Paramount Pictures.

The company had been approached by several investors, confirmed chief executive Philippe Dauman, and would be holding talks with some investors.

Viacom is under pressure to revive its fortunes after a run of poor results. Earlier this month it posted a 6 per cent year-on-year fall in quarterly revenues to $3.2 billion. Paramount Pictures has also struggled, with revenue falling 15 per cent and an operating loss of $146 million.

The studio, which Viacom is rebuilding after some high-profile failures, is worth $4 billion, Sanford Bernstein analyst Todd Juenger has recently estimated. The company did not say what percentage of Paramount it might sell.